Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Strictly: Drilling II -- Ignore unavailable to you. Want to Upgrade?

To: rolatzi who wrote (11062)	4/24/2002 5:11:47 PM
From: SliderOnTheBlack	Read Replies (2) \| Respond to of 36161

["What do you think?"] re: holding & adding Gold Stocks ? Yes to both. Three words good for $350+ POG: "US attacks Iraq" ...when, not if ~ So why get too cutesy trading in & out here given the innumerable catalysts on the Rogue Wave Horizon ? The other - "when, not if" positive catalyst for Gold is the inevitable managed descent of the US Dollar. "O %" Financing saved the Big 3 US Auto Mfgr's from a nightmare ...and 0 % can not and will not continue. The US Mfg sector can not withstand another 18 mos of King Dollar... 10% unemployment if it continues. I read an article last night about the record number of non-performing loans held by US Banks. How this isn't a headline - I do not know !?!?!? The "spin control" on that is that they (US Banks) are making strong profits... unfortunately; much of it is from Enron-esque financial engineering imho... and we've got some deep and very real problems in the US Financial arena. The Debt-Orgy of the late 1990's is coming home to roost and when Citi bought Associates and Commercial Credit; I made a comment then on the old SI SD list that all of this subprime paper that was created during the mid-late 1990's subprime credit boom would continue to bring down those who choose to go there - ie: Conseco's GreenTree Financial debacle, First Unions purchase of the Money Store etc. And Tyco can't unload CIT credit... duhhh ? Remember Cityscape Financial ? ...a Michael Price Top Pick & Top Fidelity Holding.. the once darling of the Sub Prime boom that went bust. Now Fannie Mae wants to play in sub prime ? Whodathunkit ? Will they ever #$%^&'n learn ? The credit card issuers were literally playing a Ponzi scheme game... as deliquencies & chargeoffs rose - they just exponentially bought/acquired, or issued more cards/accounts... The big secret in the Financial arena is that a huge percentage of Mortgages are badly collateralized by inflated appraisals amidst a classic real estate bubble. If unemployment hits 7.5%+ [and it will imho]; that is the point that the US Consumer Debt bubble will unravel and the house of cards will collapse imo. The US Consumer has gone off the deep end debt-wise and that is all that is keeping this economy going presently... but, it will end and end relatively soon imho. We just had an unprecedented series of Fed Rate Cuts, a Mortgage Refi Boom and 0 % Auto Financing and there just isn't any more ammo left for Greenie to use - other than continuing to roll the Fiat-Funny Money Presses 24 x7... The Banks can NOT ease credit... the debt Orgy is ready to blow at any minute. Greenie is virtually check-mated here imo. History, reality and truth will ultimately prevail... it always does... and Gold is REAL, it is supported by HISTORY and it's historic place as the currency of last resort and as a historic store & barometer of value, can not be perpetually manipulated...and it's moment of TRUTH has arrived as well. People would do well to remain liquid and buy the coming bargains in both commercial and residential real estate imo... Cash and Gold & Silver will soon be King... PS...we'll know the commodity & real asset cycle is over when Jimmy Rogers replaces Cramer & Kudlow with his own show on CNBC (VBG) ~